Home prices take a hit

S. Florida, Vegas absorb 27 percent drop over 2007

Home prices in 20 U.S. metropolitan areas fell in April by the most on record, signaling the housing recession is far from over, a private survey showed Tuesday.

The S&P/Case-Shiller home-price index dropped 15.3 percent from a year earlier, less than forecast, after a 14.3 percent decline in March. The group began keeping year-over-year records in 2001.

All of the 20 cities in the index showed a year-over-year decrease in prices for April, led by a 27 percent drop in both Miami and Las Vegas. For the purposes of this report, Miami includes Broward and Palm Beach counties.

South Florida has been mired in a housing slump for more than two years. The growing number of mortgage defaults and foreclosure sales is adding to the glut of available homes, although April data from the Florida Association of Realtors showed that buyers are responding as prices continue to fall. The Realtors' group is set to release May housing figures on Thursday.

The real estate downturn, along with higher fuel prices and a shrinking job market, is taking a toll on consumers and the economy.

"There's such an excess of inventories that we certainly expect to see more price declines," said James O'Sullivan, a senior economist at UBS Securities LLC in Stamford, Conn. "The economy is still weakening and housing still looks pretty weak."

Staff Writer Paul Owers contributed to this story.

On the Web

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